Automakers have ample challenges in today’s auto market. To make matters a bit more challenging, new fuel and emissions regulations are going to be put into place in the U.S. Perhaps the most stringent of these new regulations is California’s, which will require 3% of sales from certain automakers to be zero-emissions vehicles.
While Toyota may be synonymous with hybrid technology and fuel efficiency, the new regulations are still incredibly restrictive. It’s estimated that Toyota will have to spend nearly $1 billion to meet the new requirements. This new regulation is only for automakers selling 60,000 units per year or more. Other automakers, such as Honda and Ford, will also have to comply. But with domestic automakers suffering, Honda and Toyota hold much of the market share right now, which according to Los Angeles Auto Loans means they will have a much higher cost in developing and marketing zero-emissions vehicles.
Toyota’s costs will come not only from the cost of components and the batteries that go into zero-emissions vehicles, but Toyota Service Goleta reminds us that costs will also come from additional necessary resources or revampings, such as service centers, engineers, marketing and advertising, warranty coverage, and other equipment needed to build such vehicles suggests one used cars Los Angeles dealer. At 3% of their current sales, Toyota will be required to sell around 15,000 of these zero-emissions vehicles by 2012. If they fail to become compliant, they will not long be allowed to sell cars in California.
With the new regulations in place, Toyota and other automakers are scrambling to become compliant in a tight timeframe. Not only will this require money, but Cleveland Toyota Financing also points out that it will require serious research and development, and retooling. Should Toyota and others be successful in offering electric vehicles to the public, the next challenge will be convincing car buyers to purchase them, as they will likely be pricier than gas-powered models.
Volvo Dives into Plug-in Hybrid Technology
Volvo has been struggling amid slumping global sales, but that hasn’t stopped the automaker from diving into research and development. One such as product of its R&D efforts is a new plug-in hybrid that will be due by 2012. Volvo has committed itself to producing a high mileage diesel-electric plug-in hybrid, but it has yet to confirm its plans to sell the vehicle in the U.S.
Lexus ES Still Critical to Luxury Brand Lineup
As one Lexus’ most popular models, there will be plenty of drivers that will be happy to see a revamped Lexus ES 350 coming to showrooms later this month. While it may not be a full redesign, the updating certainly brings needed enhancements.
Euro Civic Type-R Teases U.S. Consumers
In the U.S., Honda is mostly known for producing somewhat conservative, economical cars. However, the image of Honda outside of the States is far more performance oriented. This is attributed to a range of models that can be had overseas, but remain unavailable here.
